The market is not showing any direction (either upward or downward). This means it could be range bound for some time, till it resolves itself either to the upside or downside. During this recent correction we have not seen aggressive or panic selling. This is indicated in the numbers shown by the Market Breadth Ratios.
Range bound price action is not good for aggressive growth strategies because breakout and breakdowns fail frequently.
What works in this kind of market is dividend paying value strategies like “Dogs of the Dow”.
No comments:
Post a Comment